Invest in Maldives

a guide for foreign investors

CTL Strategies recognised in 2021 Rankings of Chambers and Partners

CTL Strategies LLP has been ranked in the 2021 edition of Chambers and Partners.

Chambers and Partners, often regarded as the “gold standard” in the legal profession, is an independent research company operating across 200 jurisdictions. Chambers deliver rankings and insight into the world’s leading lawyers and law firms. The rankings are based on in-depth interviews with lawyers, in-house counsel of clients and independent experts.

The Guide remarks that the “firm has a significant focus on tax matters and earns considerable market respect in this regard. Its experience includes tax litigation and corporate services. It is heralded by sources as “up-and-coming”.

Recent Updates

The Maldives signs the Convention on Mutual Administrative Assistance in Tax Matters

The Maldives is now a signatory to the Convention on Mutual Administrative Assistance in Tax Matters (MAAC). The signing took place on 11 August 2021, at the ceremony held at OECD Headquarters in Paris.

MAAC was developed by the OECD and the Council of Europe in 1988 and has become the leading international treaty for multilateral cooperation in tax matters. The primary objectives of MAAC are to jointly aid the parties to the Convention in tax matters through exchange of information on request, spontaneous exchange, automatic exchange, tax examinations abroad, simultaneous tax examination and assistance in recovery of taxes and facilitation of documents. 

The Convention is also the primary instrument for the implementation of the Common Reporting Standard which enables the jurisdictions to automatically exchange information about offshore financial accounts and for the automatic exchange of Country-by-Country Reports which would give tax authorities a clear view of MNE Groups global allocation of income, easing the tax risk assessment and assurance process.

The countries signatory to the Convention must also agree to adopt the Multilateral Competent Authority Agreements (MCAA).

As of July 2021, 141 jurisdictions are participating.

Overview of the First Amendment to the Income Tax Act

The legislative intent of the First Amendment to the Income Tax Act has been to address the difficulties faced in implementing the Act and to further strengthen the Maldives Income Tax Regime. Among other things, the most significant additions and changes have been brought to tax exemptions, tax on offshore indirect transfers and the categorically identified payments subject to Non-resident Withholding Tax, specific to the banking, insurance, and telecommunication industry.

This Overview summarises the following key components of the Amendment that are expected to have an impact on taxpayers:

  • Group Entities
  • Income from Illicit Activities
  • Non-resident Shipping or Aircraft Operators
  • Exempt Income
  • Permanent Establishments
  • Capital Gains/Losses
  • Banks
  • Tax Returns & Payments
  • Offshore Indirect Transfers
  • Non-resident Withholding Tax
  • Transfer Pricing
  • Controlled Foreign Entities


4th Amendment to Tax Administration Regulation


Chaotic Non-resident Contractor Tax Rules


Collection & Distribution of Service Charge